Yes of course. Maybe they'll do a deal with pfi for the building work. Would you like a large multi purpose highrise building or an estate of separate smaller buildings giving it an industrial feel? If they do a deal with pfi they may manage to have live in quarters for their families there also.
Shower, gym, sauna. Supermarket of course so they can self-cater. Pizzeria, restaurant chain?
I know you will take this as deramping but I would expect a price of around 1 - 1.5p within 1 -3 months, depending on the release of RNS's. Maybe even as high as 2p. This is pricing in the lack of a wash plant, and the cost of installing one.
After the initial euphoria of the contract RNS(s) I expect realization to hit and the shares to drop a bit, but then as production increases the shares will rise again.
Will EDL have 2 mines going at the same time, one mining the coal which does not need to be washed, supplying these contracts, and the second mining the coal to customers who do not need the best coal?
This may allow a timescale before a wash plant is required and priority can be given to taking a loan out for plant/ machinery hire, buildings - offices, showers, canteen and transport - trucks, cars?
Also we're expecting not one but several contracts so one at a time but the first one will really boost the sp and further deals may start to get priced in.
Cost to produce per tonne with the power plant is below $30 but less capex and opex will be required to scoop and sell the surface coal for other contracts as the full infrastructure is not required so sky really could be the limit.
Really anyone's guess, but I would think 3, 4 or 5p should be very achievable in the nearer term with good rates for the coal and the right deal etc. Two or three years down the road who knows??..... All imvho of course.
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